Finding 623494 (2022-002)

Finding 2022-002 Federal agency: U.S. Department of Health and Human Services Federal program name: Medical Assistance Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2205MN5ADM, 2022 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Number: 2205MN5ADM Award Period: Fiscal year 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: A nonfederal entity must: (i) Establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal Award. These internal controls should be in compliance with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO); (ii) Comply with the U.S. Constitution, Federal statutes, regulations, and the terms and conditions of the Federal award; (iii) Evaluate and monitor the non-Federal entity?s compliance with statutes, regulations, and the terms and conditions of Federal awards; (iv) Take prompt action when instances of noncompliance are identified including noncompliance identified in audit findings; and (v) Take reasonable measures to safeguard protected personally identifiable information and other information the Federal awarding agency or pass-through entity designates as sensitive or the non-Federal entity considers sensitive consistent with applicable Federal, State, local, and tribal laws regarding privacy and responsibility of confidentiality. Condition: During our testing of allowable costs over payroll related to the County?s cost allocation plan we noted one of our selections did not have approval for their timesheet. Questioned Costs: None Context: The County?s cost allocation plan utilized the County?s expenditures and operations for the calendar year ending December 31, 2020. For one of the 32 timesheets selected for testing as part of the County?s cost allocation plan, the County was not able to provide support for a supervisor review. Cause: The timesheet was missed due to the timing of leaving offices at the start of the COVID-19 pandemic. Effect: The County was not in compliance with time and effort documentation requirements of the Uniform Guidance. Repeat Finding: No Recommendation: We recommend the County puts in place the proper procedures to document all approvals of timesheets coded to the grant. Views of responsible officials: There is no disagreement with the finding.